'K-Food' Popularity Soars... Number of Korean Restaurant Companies Expanding Overseas Surpasses 200 for the First Time

203 Companies Operate Overseas as of Q2 This Year

Entering 77 Countries; US, Vietnam, and Japan Lead the Way

For the first time, the number of Korean restaurant companies expanding overseas surpassed 200 in the first half of this year. This trend reflects both the surging global demand for K-food, which is winning over international palates, and the search for new growth drivers abroad as the domestic food service market nears saturation.

According to Korea Agro-Fisheries & Food Trade Corporation (aT) on August 5, the number of domestic food service companies with overseas operations stood at 203 as of the second quarter of this year, an increase of 81 (66.4%) from 122 last year. This is the first time the number has exceeded 200. Previously, the highest number of domestic food service companies with overseas branches was 193 in 2017, but the figure declined to 121 by 2024. After remaining at similar levels last year, the number of overseas-expanding companies jumped rapidly in the first half of this year.

As of the second quarter of this year, of these overseas-operating companies, 194 were franchises and 9 were non-franchises. There were 228 brands and 5,188 stores abroad. The number of stores reached an all-time high of 6,001 in 2017 and previously exceeded 5,000 in 2016 with 5,476 locations. Looking at the initial entry points for these brands, 50 of them expanded overseas between 2016 and 2020, prior to the COVID-19 pandemic. Over the most recent three years, there were 40 new brands entering overseas markets in 2024, 28 in the previous year, and another 28 as of the second quarter this year—for a total of 96 brands currently in a 'second growth phase' of international expansion.

The number of countries where domestic food service companies have established operations has reached 77. Unlike a decade ago, when most overseas expansion focused on Southeast Asia and China, there has been a significant increase in companies seeking opportunities in the US and Japanese markets. By country, as of the second quarter of this year, the United States was the most popular destination for Korean food service companies, with 65 companies operating there, followed by Vietnam (55) and Japan (39). In terms of the number of stores, the US had the largest number in a single country with 1,228 outlets, while regionally, Southeast Asia (1,895) and Northeast Asia (1,469) both recorded over 1,000 stores.

Even last year, the US was the country attracting the most interest from Korean food service companies, with 48 companies entering the market. Bakeries and chicken restaurants are leading the charge in the US expansion. Paris Baguette and Tous Les Jours rapidly expanded their US footprints in the first half of 2026, surpassing 300 and 200 stores, respectively. Major Korean chicken brands such as Genesis BBQ and Bonchon Chicken are also accelerating their expansion in the US market.

China, once considered the leading target for overseas expansion by Korean food service companies, slipped from third (33 companies) last year to fifth (34 companies) as of the second quarter this year. In contrast, Japan rose from fifth place last year to third, with 10 additional Korean food service companies entering the market in the first half of the year, bringing the total to 39 as of the second quarter. The domestic burger brand Mom’s Touch plans to open 100 stores across Japan by next year. Theborn Korea also plans to launch Bbaekdabang's first store in Japan this month, following the opening of the first Marabaek branch earlier this year.

The number of companies entering the 'other' category, classified outside major countries, also increased—from 26 last year to 71 as of the second quarter this year. This indicates a growing movement to secure new markets by targeting countries beyond the mainstream destinations.

By industry segment (based on number of brands), Korean cuisine accounted for the largest share at 38% (87 brands), followed by chicken at 14% (32), specialty coffee shops at 10% (23), kimbap and other quick eateries at 9% (21), and pubs at 5% (12). The most common reason cited by companies for expanding overseas was “to capture new growth opportunities through global markets.” Most companies are using the master franchise (MF) model for overseas expansion, and royalty rates vary considerably depending on the country and the brand’s recognition.

An industry insider commented, “The popularity of K-food, driven in part by the influence of K-pop and positive international feedback, has left companies facing domestic market limitations with no other choice but to view the global market as their new source of opportunity. Since many companies are still in the early stages of expansion, it is crucial for them to establish a stable presence and systematically expand their operations according to local market conditions.”

This content was produced with the assistance of AI translation services.